NORTH COUNTY -- Local school districts will receive anywhere from $185 to nearly $9 million in federal stimulus money sometime this year, although administrators said Tuesday they're not expecting a spending spree with the newfound funds.
The state Department of Education posted information on its Web site Tuesday on how much money districts will receive from the State Fiscal Stabilization Fund. The money is part of the American Recovery and Reinvestment Act signed in February by President Barack Obama.
"The federal dollars will help us, but the potential cuts we're getting from the state are larger than what we're getting from the federal government," said Superintendent Don Phillips of the Poway Unified School District, which will receive $8.7 million in stimulus money.
District officials elsewhere echoed Phillips' caution.
"We're very pleased with the federal funding, and that's going to be very helpful to us in difficult times," said Robyn Phillips, assistant superintendent of business services with the Oceanside Unified School District, which is slated to receive $5.3 million in stimulus money. "But before we rush out to commit that funding, we have to have a better understanding of what additional cuts may be coming from state funding."
The one-time federal stimulus payments are designed to help offset cuts to revenue-limit districts, or districts that receive the bulk of their money from the state. In comparison, basic-aid districts receive most of their money from local taxes and are not receiving federal stimulus money.
A second, smaller allocation of money called categorical funds -- funds restricted to specific programs -- will be announced later.
San Diego County districts will receive $126 million in federal stimulus funds, with the San Diego Unified School District set to receive the largest payment of $30.2 million.
In North County, Poway Unified is getting the biggest check with $8.7 million, followed by Vista Unified with $6.1 million, Oceanside Unified with $5.3 million, San Marcos Unified with $4.6 million, Escondido Union Elementary with $4.5 million and San Dieguito Union High with $3.8 million. Bonsall Elementary will receive $466,739 in federal stimulus money. Vallecitos Elementary will receive $54,308.
Districts are expected to get the money sometime in July.
While many districts laid off teachers and other workers earlier this year to balance their budgets, district officials said they're not expecting to use the stimulus money to hire them back just yet.
On Monday, however, Poway district officials rescinded notices to 194 of the 314 teachers it laid off after district unions agreed to roll back their salaries 2.7 percent. The San Marcos Unified School District on Monday finalized two teacher layoffs after earlier sending notices to 50 teachers. Superintendent Kevin Holt said San Marcos rescinded most layoffs after budget revisions and unfilled vacant positions helped balance the district's books.
District leaders said they are holding off on deciding how to use the stimulus money until Gov. Arnold Schwarzenegger unveils his revised state budget this week and after voters decide on budget-related ballots in a May 19 special election. The governor has said the state's deficit could grow to as much as $21.3 billion through June 2010 if the measures fail and to $15.4 billion if they pass.
While the federal stimulus money has no restrictions on it, district superintendents said the grim forecast from the governor leaves districts with few options about its use rather than to just fill budget gaps.
"The good news is if the state cuts more, this will be used by districts to soften further reductions," said Superintendent Ken Noah of the San Dieguito Union High School District. "The bad news is, that doesn't very well meet the goal of 'stimulus.' It essentially keeps things from worsening."
Holt, Poway Unified Superintendent Don Phillips and Escondido Union Elementary Superintendent Jennifer Walters said they are concerned about what would happen if the May 19 ballot measures fail. They said that could affect funding from Proposition 98, a 1988 initiative that guarantees a minimum amount of money to state schools. All three superintendents said ballot failures could cost districts $610 per student, which they said would mean a $10 million loss for San Marcos Unified, a $10.5 million loss for Escondido Union Elementary and a $20.1 million loss for Poway Unified.
"If we're getting $4 million or $5 million in stimulus money, it'll be totally offset by the cuts," Holt said.
"The concept (of the stimulus funding) was to backfill some of the revenue-limit reductions, and now we're looking at a compounded economic problem that could be catastrophic," Walters said.
Noah said San Dieguito is in a novel situation because it is on the brink of transitioning from a revenue-limit district eligible for stimulus money to a basic-aid district, because it soon may receive more funding from property taxes than from the state. If the transition happens by the end of the month, he said the district may have to return its $3.8 million in stimulus money, he said.
Noah said that may not be a bad thing in the long run, however, because the local property taxes have become more reliable than state funding.
"It's sort of like a 'Catch-22,'" he said about the possibility of losing the $3.8 million.
The small Cardiff Elementary School District, which has only two schools, also is in an unusual situation. The district is set to receive only $185 in stimulus money because it is a basic-aid district with one student who transferred from a revenue-limit district, said Superintendent Tom Pellegrino.
"We expect to get more than that, but we're still waiting for the exact amount," Pellegrino said. A second round of federal stimulus money is expected sometime in the next two months.
Contact staff writer Gary Warth at 760-740-5410.
CORRECTION: More schools included in stimulus funding
NORTH COUNTY -- An article in Wednesday's editions on local schools receiving federal stimulus money did not include the Bonsall Union and Vallecitos elementary school districts.
Bonsall Elementary District will receive $466,739 in federal stimulus money. Vallecitos Elementary District will receive $54,308.
We apologize.





